Why Indian IT Companies Are Not Moved By Biden Promise Of Visa Support
Biden Promise Of Visa Support: The elect president Joe Biden’s new leadership might still have not set the rhythm for India. The effects of Trump’s misdeed leave a sense of mistrust amongst the leaders of the free world.
Despite Joe Biden’s administration promising to offer more work visas to skilled Indians, the Indian software companies don’t seem to be trusting the calls. Biden, is his new ‘Biden’s Plan For Securing Our Values As A Nation Of Immigrants’ has promised more medium term work visas to highly skilled workers and remove country wise limits on them.
Post the third troublesome episode with the US government over visas, Indian IT companies had started hiring American resources. According to Crisil, a rating agency, Indian IT companies have paid 25-30% more to Americans than to Indian workers on H-1B visas. Indian IT companies can partly offset such higher costs with higher ‘onsite’ billing rates (work done in the US). This does not boosts margins unless there is a revenue mix that is skewed towards ‘offshore’ billings (work done in India).
With work-from-home norm being normalized, hopefully, IT companies can increase their offshore component. But there is a lot of strategy that has gone into play to save their business. Now, a sudden generosity does not seem to be palatable to the Indian IT companies that have felt harassed and undervalued by the American administration.
Indian IT companies may not depend on acquiring visas anymore. There has been resistance from US Startups too, which is what came Trump ammunition to hit the various visa and immigration norms.
Biden might have to dig deeper and uproot trees that have been wrongly planted in Trump’s time.